Grünenthal Limited is the UK subsidiary of the Grünenthal Group. This document describes the tax principles of the Grünenthal Group according to the requirements introduced by Schedule 19, Finance Act 2016, and has been adopted by the Board of Grünenthal Limited, first effective for the year ended 31 December 2017.
Grunenthal Limited reviews and approves its Tax strategy at regular intervals. These intervals will include but are not limited to dates of Board approval of Annual Financial Statements and Submission of Corporation Tax Return. Following any review of Tax Strategy the Board of Directors will either approve the current Strategy or any agreed revision(s) as appropriate.
1 Introduction
The Grünenthal Group is an entrepreneurial, science-based pharmaceutical company specialised in pain, gout and inflammation. It is an independent, family-owned company headquartered in Aachen, Germany. Grünenthal is present in 30 countries with affiliates in Europe, Latin America and the US. The products are sold in more than 100 countries and approx. 5,200 employees are working for the Grünenthal Group worldwide.
Grünenthal is a fully integrated research & development company with a long track record of bringing innovative pain treatments and state-of-the-art technologies to patients. By sustainably investing in our R&D above the industrial average, we are strongly committed to innovation.
Grünenthal’s compliance policy has the objective of being in accordance with established legislation, regulation, policies, guidelines and/or specifications. Compliance is critical for monitoring, promoting, protecting and securing the integrity and reputation of the company, their managers and their employees.
Grünenthal’s compliance system and infrastructure, and the efforts of continuous improvement are helping to safeguard the integrity of the organisation and minimise legal non-compliance. It supports the social responsibility as an innovative pharmaceutical organization and connects the Grünenthal family culture with a powerful Grünenthal.
2 Governance
Grünenthal commits to act responsibly, also in relation to all tax affairs, to fulfil compliance obligations, and to operate in accordance with all relevant laws and regulations. Furthermore, Grünenthal’s economic contributions, of which taxes form a part, are important and the group aims to ensure that it pays the right amount of taxes and duties in each country in which it operates and complies with tax declaration obligations in each country.
Grünenthal understands the value of reporting to stakeholders and endeavours to provide balanced communication of its tax affairs. As a good corporate citizen Grünenthal considers taxes and duties as an important part of its social responsibility.
2.1 Tax planning
Grünenthal aims to be efficient with its tax affairs and considers the intention of the tax law in its business activities. In addition, Grünenthal structures its business activities in accordance with sound commercial and economic reasoning and does not engage in any tax avoidance schemes. Grünenthal’s overall company strategy is aligned with the risk profile for tax planning. Furthermore, the enhancing of the visibility to cash flow and financial impact is part of the tax planning.
2.2 Tax risk management
Grünenthal’s integration of global tax requirements will be in line with the group compliance culture and the Tax Compliance Management. Grünenthal will manage tax risks in line with its group governance framework and procedures. Key risk areas are monitored, and material risks should be mitigated or minimised.
2.3 Tax Compliance
Grünenthal is committed to observe all applicable tax laws, regulations, reporting and disclosure requirements, wherever there is a requirement to do so as a result of businesses presence and transactions, in line with our Code of Conduct.
All taxes and duties are paid and tax declarations are duly filed according to local laws and regulations in the countries where Grünenthal operates.
2.4 Relationship with Tax Authorities
Grünenthal aims to achieve and maintain respectful relationships with the tax authorities or any other relevant authority of the jurisdictions in which it operates.
Grünenthal co-operates, communicates and corresponds with tax or other relevant authorities with a conduct based on honesty, fairness and integrity.
Furthermore, Grünenthal encourages the establishing of tax administration capability, and the promotion of efficient, fair and balanced tax systems.
The visibility and governance in the end-to-end tax processes as well as the audit-ready documentation will be enabled and integrated with the compliance of Grünenthal group.
M-N/A-UK-10-23-0005 - October 2023